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It's only one train station away from Atami station plus 10-min walk. The signage pointing to the place was only to be seen when you have walked half the distance (apparently for motorists), which was not of much help for pedestrians. Part of the distance was rather steep, but still reasonable; just take time to catch your breath. Information from...
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We visited Atami Plum Garden on Feb 8, 2016 during Ume Blossom Festival. This is actually my first time visiting Atami, it's a beautiful place. Atami Plum Garden is located near Kinomiya station instead of Atami station. Getting off at Kinomiya station and taking about 10-15mins walk uphill, you will find the garden.

5-10 minutes walk uphill from JR Kinomiya Station (Ito Line) or 15-20 minutes by bus from JR Atami Station. Nice garden along a stream dedicated to plums.
If you have time, I also recommend the plum grove at Makuyama Park in Yugawara (next town to Atami on JR Tokaido [conventional] Line), and also Kawazu Zakuras in southern Izu Peninsula.
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it might be better if visit during full bloom, they didnt charge admission fees since only a few is bloomin. The location is quite far frm the city center & on high slopes so I do not recommend walkin, it's better to go by bus

After having visited it a few months ago, with autumn colored leaves, now at the beginning of the plum season it was so much different - on weekends there are different shows and offerings of sweet sake, the spring is in the air!

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